Simple Theft Away From Home Insurance: Questions and Answers

Many losses caused by theft are covered by Swiss household insurance. Insurance companies differentiate between three different kinds of theft: Robbery, burglary, and simple theft.

A theft is considered a burglary when the thief forcibly enters a building in order to steal your property. If the thief uses violence or the threat of violence, then the theft is classified as robbery.

What is simple theft?

Any theft carried out without breaking in or using the threat of violence is classified as a simple theft. Theft from cars is generally classified as simple theft and not as burglary, regardless of whether or not the car was locked. Simple theft from your home and garden is covered by basic household insurance.

The term simple theft away from home defines simple theft that takes place outside of your home. This is not covered by basic household insurance.

What does insurance for simple theft away from home cover?

Wallets, mobile phones, cameras, handbags, laptops, luggage, skis, and bicycles are all items that are commonly targeted by pickpockets and opportunistic thieves.

The simple theft away from home rider for household insurance covers most personal property. However, it generally does not cover money and equivalents like cash, credit cards, and precious metal bullion. Some insurers let you choose whether or not you want coverage for skis and bicycles. Motorcycles and powerful e-bikes are not covered. You can insure mopeds and equivalent e-bikes using partial-casco insurance or full-casco insurance for motorcycles.

Does the insurance reimburse the price I paid for the item?

Your personal property is insured up to its replacement value – the cost of buying the same or a similar item at the time that you file the claim. If the price of the item has gone down since you bought it, the replacement value may be lower than the price that you paid for the original item.

Does the simple theft away from home insurance apply worldwide?

The insurance covers your things both in Switzerland and when you travel abroad. The coverage is valid worldwide. However, it is important that you always report the theft to the police. You must obtain a police report in order to claim the insurance benefit. That also applies to thefts in foreign countries.

What does this optional insurance rider cost?

You can generally choose whether or not to add coverage for simple theft away from home to your household insurance. Most Swiss insurance providers do not include it in household insurance by default, and the additional premium you pay to add this rider is high in relation to the cost of standard household insurance. That is because the risk of items being stolen outside of your home is very high.

Theft of items outside of homes is relatively common both in Switzerland and in many foreign countries. The resulting losses can be very high. A phone or tablet can easily cost between several hundred and over a thousand Swiss francs. The cost of jewelry, laptops, and bicycles often runs into the thousands of francs.

The cost of coverage for simple theft away from home ranges between 25 and 200 francs, depending on the insurance provider and the amount of coverage you want. Which insurance deductible you choose also affects the cost.

As a general rule, the higher the maximum amount you want to insure is, the higher the insurance premiums are. The amount charged by an insurance company goes up in direct correlation with the sum insured. If you want to find the exact premiums you would pay based on your specific needs, you will have to compare household insurance offers.

*Annual insurance premiums for a four-person family living in a rented 4.5-room solid construction apartment in Zurich, with a 200-franc deductible.

Is simple theft away from home insurance worth getting?

The rule of thumb is: The more time you spend outside of your home and the more the things you carry around with you are worth, the more likely you are to benefit from simple theft away from home insurance. Frequent travel to foreign countries increases the value of this insurance.

However, the lowest insurance deductible offered is currently 200 francs per claim. That means the simple theft away from home rider is primarily useful for insuring high-value items.

Seen retrospectively, having this insurance only pays off if the benefits you claim are higher than the total premiums you pay. Example: Over a five-year period, you pay a total of 300 francs for a simple theft away from home insurance rider. During that time, you iPhone with a value of around 1000 francs is stolen. You receive the replacement value, minus the 200-franc deductible. Assuming that the price of the phone did not change since you bought it, the insurance benefit would be 800 francs. After deducting the cost of the insurance, your real benefit would be 500 francs.

Of course, there is no way to know whether or not you will benefit from the insurance in advance. But the example above shows that including this supplement in your household insurance can be a sensible financial move if you regularly take valuable personal property with you when you leave home.

You can boost the value by keeping the cost of insurance to a minimum. You can do this by comparing the premiums based on the coverage you need, because there are big differences between insurance providers.

More on this topic:
Which hazards does Swiss household insurance cover?
Bicycle insurance in Switzerland explained
Valuables insurance in Switzerland explained